Published on : Oct 13, 2017
As automakers world over intensify their efforts to up the production of electric vehicles (EV) and hybrid models, the lack of sufficient availability of battery technology may come as a bottleneck. With the expected proliferation of electric cars in developed regions such as Europe in the next couple of years, the indigenous production of battery cells is picking up pace. LG Electronics Inc., a prominent electronics company based in South Korea, announced in October that it intends to launch Europe’s largest EV battery factory near Wroclaw in Poland by 2019. The facility is to be built by LG Chem division of the company, which will spend near US$1.63 billion to produce lithium-ion batteries.
Announcement to Bode Well for Europe EV Market
The factory will be equipped to produce 100,000 EV batteries for big car makers each year starting 2018 and is likely to employ as many as 2,500 people. The current production of EV batteries in the Europe market is clearly insufficient to meet the needs of a burgeoning production of EV by global and regional car makers, with imports mainly from several Asian producers, notably China, making up for the shortfall. In a bid to make the production largely indigenous, the announcement bodes well for the Europe automotive industry.
The South Korean electronics company hasn’t made it clear if the production of Li-cells will be independently done or whether the producer will consider importing some of the components. The facility will also include a research and development center employing technical expertise from diverse domains, revealed the company.